Disney CEO Says Parks and Merch Should Cover Their Movie Flops

Disney has acknowledged that The Mandalorian and Grogu and the live-action Moana fell short of the studio’s box office expectations, even as the company points to merchandise, theme parks, gaming, and streaming as ways to soften the blow. CEO Josh D’Amaro addressed the results during Disney’s latest earnings call. He said the company’s franchise investments can still support other parts of the business when a movie does not meet theatrical goals. “Even when our franchise films don’t meet our box office expectations, as with The Mandalorian and Grogu and the live-action Moana, our investments in these core properties fuel other parts of our company,” D’Amaro said. D’Amaro also claimed that The Mandalorian and Grogu boosted Star Wars retail sales, brought guests to the updated Millennium Falcon attraction at Disneyland and Walt Disney World, and drove gaming engagement. Disney also expects the live-action Moana to find a larger audience on Disney+, following the streaming success of the 2016 animated film. Chief Financial Officer Hugh Johnston said ticket sales remain important, but Disney’s broader business can handle some of the swings in the movie business. That is a corporate saf...